Happy and prosperous 2012, my friends.Before you will read my January Analysis, week 02-06.12, please take a few minutes to Remember the 12 Solutions to discipline Yourself as a Trader, 12 MUST Steps to Make a Trade (and the Important Advices in the article).This ARTICLE SERIES contains Two main Parts: -1) The weekly analysis (updated through comments) on Daily, 4H Charts for the Major Pairs (EUR/USD, GBP/USD, AUD/USD, NZD/USD, USD/CAD, USD/JPY, USD/CHF),-2) General Trading Solutions and Advices (this week - Range Bars Charts Introduction).

Created in 1995, by a brazilian Trader, Vincent Nicolellis Jr., Constant Range Bars are also called "Momentum Bars". They are standard Charts with Bars that have Open/ Close/ High/ Low and Volume, but they focus on Price Movement, eliminating the Time Factor.

The Range Bars charts have 3 rules:- Bars have the same Lenght / Height / High-Low Range in Pips, Ticks or Money ($),- The Close of the Range Bar is always at the High or Low of the Bar,- The Opening of the next Range Bar is always one pip / tick, above or under the High or Low of the current Bar.

For example, let's take a look at a 30 minutes chart on Eur/Usd and Compare it to a 10 Pips Constant Range Bars Chart in Dukascopy J-forex Contest Platform:

- You can clearly see that we have a smaller number of Bars on the second chart, then the first one for the same period, and the same price action.- If the Range of the Price Movement is smaller than the Constant Bars Lenght (ex: 10 pips), another bar will not be generated until the price range will be broken upside or downside.- Gaps can be filled with Phantom Range Bars (not on J-forex Platform).- Time is relative for a Constant Range Bar (it varies until the range of the bar is broken).- You can Predict the High / Low / Open / Close of the Next Bar.- If your trading Platform Permits, You can choose the Range of the bars in Pips, ticks or Money ($).- Trendlines and channels seem to be built for range Bars Charts.- Trends and trend reversal are easier to detect on Range Bars Charts.- All the Range Bars have the same Size.- Technical Analysis is also effective in Range Bars Charts.- You can use Stop Orders (Conditional Orders) to enter the Market, placed at the top or low of the Bar.- Money Management and Risk Management also Apply.- Range Bars avoid to show some of the False Signals present in a choppy, noise Market, in the time based Charts.- Volumes are better correlated with Price because You can clearly see the accumulation of strenght in the Price Range Bar.

On the Daily chart, we can see a Clear Downtrend, confirmed by the Main Simple Moving averages (30,50,100 and 200 DMA). The smaller downtrendline has been broken on Tuesday Morning, at the confluence with the Main Weekly Pivot (1,2961). Price has found resistence at 1,305(weekly R1 Pivot and Daily R3 Pivot).Be careful for a False Breakout, even if volumes confirm the Breakout of the trendline. Bullish Probability finds the first resistence at Monthly Main pivot line(1,312) confluence with 30 DMA, then 1,329(bigger time frames uptrendline confluence with 50 DMA), 1,3383(Monthly R1, confluence with 61,8% Fibonacci retracement and maybe 100 DMA), and finally 1,371-1,381 area(38,2% Fibonacci confluence with 200 DMA and Monthly R2).Bearish probability would return price under Weekly Pivot(1,2961) and take it to new lows under 1,285 support, to Monthly R1(1,2693) and 1,264 support, or even 1,243 Monthly R2.

On 4H chart Eur/Usd has broken 100 SMA, and could retrace to the downtrendline and then resume the upside move. If price breaks 1,306(weekly R1), it could reach 1,312(Monthly Pivot), and 1,3187(Weekly r2 Pivot confluence with 200 SMA on 4H chart).Above that level we could see a Trend reversal on 4H chart.

-GBP/USD - January Analysis - Week 02-06.01

On the Daily chart price has broken the Monthly Pivot(1,556), but it has not broken yet the downtrendline. The downtrend is confirmed by the Moving Averages, but the high Volumes on the Upmove show signes of a trend reversal. Be careful, it can be a false breakout.Bullish probability finds strong resistence at the 2 downtrendlines and 50,100 and 200 DMA. 1,576(confluence between Monthly R1 pivot and main downtrendline) holds price until it could reach 1,597(Monthly R2 confluence with 200 DMA). Above that Level, we have a Strong Confirmation of Trend Reversal. Downside Probability could Break 1,552(Weekly Pivot) and take price to 1,54 support, and further to Monthly S1 Pivot (1,5346), 1,527 support and 1,5147(Monthly S2 Pivot).

On 4H chart the price has Broken the 200 SMA and has retraced to it, it could be a signal for a trend reversal especially because the volume is Huge on the bullish Move. Be careful for a False Breakout, even if the bullish Probability seems to be the best choice for this moment.

Because I have a limited to 1500 words for this article, I will post the Daily and 4 Hours charts for AUD/USD, and USD/CHF, and the written explanation will apear in the comments after the article will be posted.I will also update those analysis with the 1H charts, in the comments section of the article, and post Analysis for NZD/USD, USD/CAD and USD/JPY.

AUD/USD - January Analysis - week 02-06.01(charts in the article):On the daily chart AUD/USD had an impressive bullish volume on Tuesday, and has reached 1,037(200 DMA).this is an Important Key level for the trend reversal on daily chart. Price could retrace to 1,015(Monthly Main Pivot) and then resume the bullish probability to reach 1,044(Monthly R1 Pivot confluence with the downtrendline) and to reverse the trend.the next bullish target would be 1,067(Monthly R2). Downside probability could break Monthly Pivot and reach 0,992(Monthly S1 Pivot confluence with the uptrendline - Key Level).

AUD/USD - January Analysis-week 02-06.01(charts in the article): On 4H chart, we can see a begining of an uptrend, confirmed by the 30,50,100 and 200 SMA.If price will retrace under 1,031(weekly R1 Pivot), it could reach 1,017(weekly Pivot) and then resume the uptrend to break Weekly R1a dn go to 1,04(weekly R2). Upside that level we have the downtrendline on daily chart resistence.Bearish Probability would break Weekly Pivot, then Monthly Pivot and reach 1,008(confluence between Weekly s1 and 100 SMA, close to 200 SMA).This is a Key area to watch for a Bearish continuation of the Main trend.

USD/CHF - January analysis-Week 02-06.01(charts in the article):On the Daily Chart, price has broken 0,9334(Monthly Pivot confluence with 30 DMA) and could retrace to 0,925(50 DMA confluence with Weekly S2), and further to 0,912(Monthly S1, confluence with 100 DMA).If it will break this key level it will probably move further to 0,886(Monthly S2) and 0,865(200 DMA). Bullish probability could resume after this small retracement above 0,933(Monthly Pivot) and reach 0,96(Monthly R1) and further to 0,981(Monthly R2).

USD/CHF - January analysis-Week 02-06.01(charts in the article):On 4Hours Chart price has found support on 0,931(weekly S1 coonfluence with 200SMA- very important key level to signal the trend reversal on 4H chart). If price breaks 200SMA, it will reach 0,9239(Weekly S2), further to 0,912(Monthly s1), and 0,9089(weekly S3). Bullish probability to resume the uptrend after this retracement, will break 0,933(Monthly Pivot), reach 0,939(Weekly Pivot),and move upside to 0,946(confluence between downtrendline and Weekly R1). If it will break this key level it could reach 0,9539(Weekly R2).

USD/JPY - January analysis-Week 02-06.01: On the daily chart price is standing under 100 DMA which hasn't crossed yet with 50 and 30 DMA to signal an secondary Uptrend reversal. Bearish probability could break 76,55(weekly S1 Pivot) and 76,39(Monthly S1) to reach 75,93(Monthly S2) and 75,55(Main Support). Bullish probability on daily chart could break 76,77pivot and move to 77,30 area(confluence between Weekly and Monthly Main pivots and 100 DMA). Above that 77,8 area(Weekly r1 confluence with Monthly R1) and 78,16(200 DMA) could signal the Main downtrend reversal on Daily chart.

USD/CAD - January analysis-Week 02-06.01:On Daily Chart, price has found support on the secondary uptrendline around 1,01(confluence with Weekly S1 Pivot). Uptrend is confirmed by 50,100, and 200 DMA.Bullish probability would take price above 1,019(weekly Pivot and 100 DMA) and 1,023(Monthly Pivot confluence with the Main uptrendline resistence and 50 DMA). Next Key-level is 1,033(Weekly R2 confluence with Secondary downtrendline). Bearish action would break the 1,00(confluence between Weekly S2 and Monthly S1) level and reach 0,997(200DMA). Under that level Main Uptrend reversal may apear.

NZD/USD - January analysis-Week 02-06.01:On 4H chart, Moving averages(30,50,100 and 200 SMA) signal a clear uptrend.The price has broken the downtrend from the higher time frames and could retrace to the trendline and then resume the secondary uptrend after an 123 formation.Bullish targets above 0,79(Weekly R2), would be 0,7945(Monthly R1) and 0,80(weekly r3). Bearish Probability would break 0,774(weekly pivot) and Monthly pivot to reach 0,768 area(confluence 100,200 SMA and Weekly s1, and secondary uptrendline, key level). Under that level uptrend reversal to 0,759(weekly S2) and 0,743(S3).

Thank You guys, I will post the weekly analysis for Week 09-13.01 on Monday for EUR/USD , USD/CHF, USD/JPY , USD/CAD , AUD/USD , NZD/USD , GBP/USD. I will also post analysis for other important pairs, next week. Your comments and support are very valuable to me.

EUR/USD update, Week 09-13:The daily candle from Friday was strongly bearish, with a Bearish Volume.On 4H chart
Bearish Probability would break the next support at 1,265 and move on to 1,251(last week's S3 Pivot). If price will break that level next support will be 1,219(Monthly S3).Bullish Probability could break the downtrendline at 1,285(confluence with Monthly S2 and last Week's S2) and move upside to 1,296(last Week's Pivot confluence with 100 SMA) and further to 1,3065(last week's R1, confluence with 23,6 fibonacci retracement from October and 200 SMA).

GBP/USD, WEEK 09-13: Higher Probability for this week seems to be Bearish if 1,5374(Monthly s1) level will be Broken. Price could move down under 1,534(last week's S1 Pivot) to break 1,527(Support) and 1,5184(last week's S2 Pivot) to reach 1,5045(Monthly S2). That is a Key Level from Where price could retrace upside.Bullish Probability will apear if 1,5374(Monthly S1) will hold as support. Price could break 1,552(last week's Main Pivot) to reach the Key Level 1,557(200 SMA confluence with the secondary Downtrendline) and further to 1,5751(Main downtrendline confluence with Monthly Pivot).

Very well written article doc. but i don't think i agree with this statement "You can clearly see that we have a smaller number of Bars on the second chart, then the first one for the same period, and the same price action." the chart period of both are different.

Indeed My dear friend NagarajaAdiga, the Constant Range Bars Chart is based only on Price Movement. Time is Relative in Range Bars. That's Why I cannot obtain the exact same Period as the Time Charts for the Same Price Action. The Main Idea is to Use the Both Charts (Time Based and Price Movement) to have the WHole Picture of the Market. Range Bars Charts are a different View of the Market but not the WHole View. Trade Well

AUD/USD, WEEK 09-13: Bearish Probability could break 1,016(Monthly Pivot) and 1,012(Weekly S1 confluence with the 200 SMA, the secondary uptrendline and with the secondary downtrendline on higher time frames). Under this important Key-Level price could reach 1,005(Weekly S2) and Move Further to 0,9845(Weekly S3). Be careful to the Main Uptrendline on 4H chart. Next Support 0,9754(Monthly S1).Bullish Action would break 1,0255(Weekly Pivot) and reach 1,0239(Weekly R1 confluence with the Main downtrendline on the higher time frames).Next support will be 1,046(Weekly R2)

USD/CHF, WEEK 09-13: The Volume was Bullish on Friday, a good signal to remain long with the uptrend.Bullish Probability would break the uptrend channel and 0,9645(Monthly R2) level to reach 0,9684(Weekly R1 Pivot). Next resistence 0,9785(weekly R2).Bearish Action could fall under 0,9493(Weekly Pivot) and reach 0,9393(Important Key-Level, confluence between Monthly R1 Pivot, Weekly S1, 100 SMA and Uptrendline). Under that support 0,9333(200 SMA) holds the Uptrend on 4 Hours Chart. Lower support could be 0,92(Weekly S2) and 0,907(Monthly Pivot).

USD/CAD:On 4H chart price has broken an Important Key-Level, 1,0225(confluence between Monthly and Weekly Pivot) and also 1,0245(200 SMA).Be careful, on 35 pips Range Bars(Candles) Chart, 100 SMA and 200 SMA have crossed, that could be an important bullish signal.Bullish probability could break the Downtrendline, after a retracement to 200 SMA.If the Trendline will be broken, 1,0369(Weekly R1 Pivot) and 1,0448(Weekly R2) will be the next resistences.Bearish Probability would fall under 1,0225(Weekly and Monthly Pivots), to reach 1,014(Weekly S1) and to break the Uptrendline around 1,012Level.

USD/JPY, WEEK 09-13:has found resistence at Main Downtrendline on the Higher TF. Now the price seems to Resume the downtrend, but we have to be careful for a BOJ intervention to depreciate Jpy.Bullish Action would break 76,96(Weekly Pivot confluence with the secondary Downtrendline), to reach 77,31(Weekly R1, maybe confluence with 100 SMA), and move further to 77,68-77,7area(Important Key-Area, confluence betweet Monthly Pivot, Weekly R2, 200 SMA and Main Downtrendline).Bearish Probability would break the secondary uptrendline to reach 76,58(Weekly S1), 76,445(Monthly S1) and 76,23(Weekly S2).

NZD/USD, WEEK 09-13:Price has broken the Downtrendline on 4H chart and then retraced to it. But the volume doesn't seem to be Bullish to sustain the Upmove.Bullish Action could break 0,789(Weekly R1) to reach 0,798(Weekly R2).Bearish Probability would break 0,781(Weekly Pivot) to reach 0,7754(Monthly Pivot confluence with Weekly S1 and Downtrendline- now support) and fall further to 0,764(Weekly S2 Pivot) and break the Main Uptrendline to reach 0,747(Weekly R3).

Thank you guys for all your comments and votes. @Nicco: if you are reffering to the fundamentals,
they are close related to the Volumes. I will talk more about volumes and Fundamentals in my next Articles. Thank You again

I have posted today the Weekly analysis view on 4Hours chart for Euro Index, USD Index, USD/SEK, USD/NOK, USD/SGD, EUR/GBP, EUR/CHF, EUR/JPY in my article comments from this week. I will post later the analysis for GBP/JPY, GBP/AUD, EUR/AUD, AUD/JPY, CHF/JPY in the same place.

Tomorrow, on Monday Morning, You will be able to read My Weekly Analysis on 4Hours charts and 30 Pips Range Bars Charts in my new article, along with other Constant Range BArs Charts elements. I will post tonight some previews on the Major Pairs analysis in the comments of the other article and in My trading blog.To Your success, Doctortyby